Solution-Prepare the entries to record the admission of

Prepare the entries to record the admission of Maggie

Assignment Help Accounting Basics

Reference no: EM132510740

Question - Bonnie and Daisy are partners with capital balances of ?400,000 and ?320,000, respectively. Profits and losses are shared equally. Accounting books have been closed after the regular adjustments were prepared. The company is considering the admission of Maggie, a new partner, who is interested in buying 50% interest from anyone of the partners. The following options are open:

a. Daisy is offering a price of ?150,000 for the interest Maggie wants to buy.

b. Bonnie is willing to sell half of her interest in exchange for the car of Maggie which was acquired for ?500,000 but is currently worth half of the price.

c. Daisy is willing to sell half of her interest for ?200,000. The partners agree to revalue the firm's assets first before Maggie's admission.

d. Bonnie and Daisy are willing to sell half of the partnership equity for ?300,000 after revaluing the assets.

Required - Prepare the entries to record the admission of Maggie based on each of the above options. Prepare the revised partner's equity for option d.

Reference no: EM132510740

Questions Cloud

Discuss the similarities of probation and parole : Discuss the similarities of probation and parole. In your opinion what are the benefits of probation and parole. Please explain and provide support for your.

Nonprofit assignment : Discuss WHY or WHY NOT the annual report meets the requirements indicated by the Standards for Excellence.

Find transfer of production from department : Find transfer of production from Department × to Department Y. The recording of manufacturing costs incurred in Department Y during May

What we know about labeling and reintegrative shaming : Let's talk a bit about John Braithwaite's concept of "reintegrative shaming" from this module's study of labeling. This is particularly valuable in discussions.

Prepare the entries to record the admission of Maggie : Prepare the entries to record the admission of Maggie based on each of the above options. Prepare the revised partner's equity for option d

Present the arguments for the privatization of prisons : For this assignment, research and present the arguments for and against the privatization of prisons. Offer your policy position on the privatization of prisons

Internal environmental analysis : Identify the most important strengths and weaknesses of your organization including an assessment of the organization's resources.

Determine interest and amortization of bonds : Cybernetics Inc. issue $ 60 million in 5% bonds, with a term of three years with coupons paid on each end of year. Determine interest and amortization of bonds

Different types of nongovernmental police or security forces : Identify and discuss at least 3 different types of nongovernmental police or security forces. You may also choose to profile 3 real-life private detectives.

User Account

All Pages

Prepare the entries to record the admission of Maggie

Reference no: EM132510740

Reference no: EM132510740

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT